Judgment

SUBBA RAO,

( 1 ) THIS appeal by certificate granted by the High court of Andhra Pradesh is preferred against the judgment dated 8/04/1964, of the said court in Tax Revision Case No. 48 of 1963.

( 2 ) THE appellant, Messrs Hyderabad Deccan Cigarette Factory, hereinafter called the assessee, is a manufacturer of and dealer in cigarettes. The cigarettes are sold both within and outside the State of Andhra Pradesh. The appellant was assessed under the Andhra Pradesh General Sales Tax Act, 1957, hereinafter called the Act, to sales tax on its turnover of Rs. 1,77,363. 01 for the period October I, 1957, to 13/12/1957. As by a notification dated 13/12/1957, issued by the State government, sales or purchases of tobacco and all its products were exempted from sales tax with effect from 14/12/1957, the turnover in respect of the sales of tobacco was excluded from the total turnover. But, on the ground that the exemption did not apply to containers and the packing materials, which consisted of cardboard and dealwood, the Commercial Tax Officer issued a notice to the appellant on 22/03/1962, proposing to assess the escaped turnover in respect of the said materials. The assessee, inter a